Cal-Maine will purchase Happy Hen Egg Farms
The company’s first acquisition of 2017 supplements its existing operations in Texas.
Cal-Maine Foods Inc., the world’s largest egg company, is getting bigger.
On Feb. 9, the Jackson, Mississippi, company announced it reached a definitive agreement to acquire substantially all of the assets of Happy Hen Egg Farms Inc. A release from Cal-Maine said the acquisition will add the Texas company’s commercial egg production and processing facilities with currency capacity for about 350,000 layers and related distribution facilities located near Harwood and Wharton, Texas.
Dolph Baker, Cal-Maine’s CEO and Chairman, said Happy Hen’s facilities are located near existing Cal-Maine assets in Texas.
“Happy Hen Egg Farms’ current site is designed for capacity of up to 1.2 million laying hens, and we intend to capitalize on specific market opportunities created by this additional production capacity,” Baker said in a release. “This proposed transaction is commensurate with our strategy to expand our business through selective acquisitions.”
Cal-Maine, with a flock of 37.94 million laying hens, is the top US egg producer of 2016. In November 2016, the company completed its acquisition of Foodonics International Inc. and its entities doing business as Dixie Egg Co.
The acquisition is expected to close within a few weeks of the announcement.